I am pleased to report the TLTA Board of Directors voted last week, by an overwhelming majority, to support a new recommendation of the P-24 Task Force for a proposed revised rule to be submitted to the Texas Department of Insurance. It is important to note this new recommendation is different than the one that was submitted to the membership in August for review. Based on input we received from the various members at our open meeting in September regarding the earlier proposal, the task force went back to the drawing board and the result is the new recommendation.

As you know, the Commissioner of Insurance, at the special P-24 hearing in March of 2002, asked the industry to study the P-24 issue and return with a proposed revision to the rule that had industry support and consensus. I have stressed all along, this consensus could only be reached with all parties and interest groups working together to achieve a compromise. True compromise means everyone gives up something and that is the case with the recommendation the Board has voted to support. While I know the rule will cause a bit of discomfort for some, I am proud the Task Force and Board were able to work together toward a proposal that is best for the industry as a whole. I hope you will also be able to support this compromise for the same reasons.

What happens now? We will submit our proposal to the Department of Insurance for their consideration at a public hearing. Please keep in mind this is only a proposed revision and the current P-24 is still in effect. Any change to the current P-24 will not go into effect unless it is first adopted as a formal rule change by the Commissioner of Insurance. We will keep you informed about the process as we receive word from TDI regarding our proposal and request for hearing.

What is included in the new rule? To view the highlights as well as a full version of the proposed rule and accompanying proposed Agreement To Perform Title Insurance Services form, please click here It is important to note this proposal contains specific requirements for prior written agreements in the premium categories where they are applicable, and a proposed promulgated form for these agreements. Under the proposal, any prior written agreements would have to be entered into utilizing this promulgated form.

I would like to take this opportunity to thank the P-24 Task Force for their many months of hard work on this issue. They worked diligently over the last nine months and spent countless hours preparing for and attending task force meetings. Theirs was a very difficult assignment and each and every one are to be commended for their steadfastness to the task and for the integrity they showed by placing the needs of the entire industry above their individual interests. They have my deepest admiration and the industry owes them a debt of gratitude.

I also want to thank all of you, the members of TLTA, for your participation in this process. Many of you have provided us with comments and input along the way and this was very helpful. Thank you for your interest in this important issue and for your continued support of TLTA and its volunteer leadership.

Again, we will keep you informed regarding the status of this proposal. In the meantime, if you have any questions or concerns, please don't hesitate to contact me or Leslie Midgley.

Sincerely,